GROUP A PROBLEMS
PA2-1 Determining Financial Statement Effects of Various Transactions
Mallard Incorporated (MI) is a small manufacturing company that makes model trains to sell to toy stores. It has a small service department that repairs customers' trains for a fee. The company has been in business for five years. At th

Last month, my sister retired and cashed in her retirement plan. She has identified 3 companies where she's decided to invest her life savings as a 1/2 owner. Each of these existing companies is 1 year old and each is owned by 1 person. We've been asked to identify the "best company" of these three for her. Most important to

Green, CPA, is auditing the financial statements of Taylor Corporation for the year ended December 31, 20X1. Green plans to complete the fieldwork and sign the auditor's report about May 10, 20X2. Green is concerned about events and transactions occurring after December 31, 20X1, that may affect the 20X1 financial statements.

Financial decisions often place heavier emphasis on one type of financial statement over the others. Consider each of the following hypothetical situations independently.
(a) The North Face, Inc. is considering extending credit to a new customer. The terms of the credit would require the customer to pay within 30 days of rece

On June 1 Fix-It-Up Service Co. was started with an initial investment in the company of $26,200 cash. Here are the assets and liabilities of the company at June 30, and the revenues and expenses for the month of June, its first month of operations:
Cash $ 4,600 Notes payable $14,000
Accounts receivable 4,000 Accoun

Hello,
I really need help with the following. The attached are Target's financial statements.
I do not even know how to begin.
Describe the financial data found in the company's financial statements, including footnotes. Be sure to include a description of all four basic financial statements.

Select any publicly traded U.S. company. You are preparing a report to management regarding the Statement of Changes in Owner's Equity, Statement of Cash Flows, and notes and other financial information. Prepare a 1,050-1,700-word position paper to the CEO explaining these statements and items and what they mean for your chosen

The January 1 balance sheet of the Marvin Company, an unincorporated business, is as follows:
Marvin Company
Balance Sheet
As of January 1
Assets Liabilities and Owners' Equity
Cash $25,000 Notes payable $20,000
Inventory 50,000 Capital 55,000
Total $75,000 Total $75,000
The following transactions took

In addition to the financial statements provided in the associated Excel file, you have the following information about Brewer Corporation:
1. The company declared and paid a cash dividend to shareholders of $5,000 in December of 2007.
2. No stock was issued, nor treasury stock acquired, in 2007,
3. No long-term borrowings

What does it mean if the question states: Licenses are recorded net of accumulated amortization of $$$$$.
How would I figure out this: Notes receivable are due April 30, 2006 with interest receivable every april 30. notes bear interest at 12% (Hint: Accrue interest due on December 31, 2004.)
Where do the following fall on

In planning the audit of a client's financial statements, an auditor identified the following issues that need audit attention.
1. The allowance for doubtful accounts is fairly presented in amount.
2. All accounts payable owed as of the balance sheet date are included in the financial statements.
3. All purchase returns

#9
Which of the following best describes the function of accounting?
a) accounting is the means by which company insiders manage their business
b) accounting must be understood primarily by government officials who tracks company progress
c) accounting is a process that measures the economic activities of a firm, summarized

2.
Pat's Pottery reported the following before-tax income statement items:
Operating income $600,000
Extraordinary loss 100,000
Extraordinary gain 60,000
Pat's has a 25% income tax rate.
Pat's would report the following amount of income tax expense as a separate item in the income statement
Option are:

Why should companies pay attention to short-term finance? What kind of issues would short-term financial planning address?
What causes companies to have the short-term financing needs?
What are the limitations of financial statement analysis?

An accountant for Micro Dynamics prepared the following list from the company's accounting records for the year ended December 31, 2006:
Net Sales: $165,000 Cash $30,000
Accounts Receivable $14,000 Selling Expenses

A staff auditor was listening to a conversation between two senior auditors regarding the audit risk model. Following are some statements made in that conversation regarding the audit risk model.
Indicate whether you agree or disagree with each of the statements. Present the rationale for your answer.

Summary comparing the financial performance of Google and Yahoo, as well as an evaluation of the annual and year-to-year results of these companies that highlights the importance of the use of ratios to compare their performance against each other as well as the internet services provider industry.

This file contains examples, as well as an analysis of balance sheet transactions (journal entries) and how they are to properly entered in a balance sheet.
Practice Exercise 3-12 Analysis of Journal Entries
Analyze and record the transactions as journal entries
a. Buildings 90,000
Cash 35,000
Mortgage Pa

Identify whether each of the following items would appear on the income statement (IS), statement of change in stockholder's equity (SE), balance sheet (BS), or statement of cash flows (CF). Some items may appear on more than one statement: if so, identify all applicable statements. If an item would not appear on any financial s